Musk's $119B chip plant points to one small stock

Musk filed for a $119B chip plant.
One small company holds the patents.

Dear Reader,

In May, a Texas county filing revealed plans for Musk’s $119B Terafab chip plant. The Wall Street Journal calls it “A Massive New Shift in AI Computing.”

If you missed Tesla or Nvidia, this could be your second shot. One little-known company (not Tesla or SpaceX) holds 150 patents on the technology at the center of this new kind of AI.

Its patented tech can produce intelligence 1,000X faster than regular AI. And it’s about the size Nvidia was when I recommended it in 2016, before its 37,800% run.

I believe this company is days away from announcing its biggest deal ever, which is why the date that matters is November 11.

See the company before November 11 >>

Jeff Brown
Founder & CEO, Brownstone Research

Futures are steady after Thursday’s chip rout, when QQQ fell 2.9% and the SOXX chip fund lost 6.8%. SPY is down 0.2%, QQQ is flat and IWM is down 0.5% (~07:20 ET), with oil up again (USO +1.6%).

THE HEADLINE THAT MATTERS TODAY

American Express beat and raised its full-year outlook. The stock is still down 2% before the bell.

MT Newswires via QuoteMedia · Oct 23, 2026 07:20 ET. “American Express Expects 2026 EPS Range $18.30 to $18.60, vs. FactSet Est of $17.68”

Q3 earnings came in at $4.68 a share against a $4.48 estimate, but revenue of $20.06B landed just under the $20.12B forecast (MT Newswires). CEO Stephen Squeri raised full-year guidance to $18.30 to $18.60 and said the company is on track for another year of 10% revenue growth. The adjusted range is $17.60 to $17.90, right on the $17.64 consensus (The Fly).

Who’s exposed: Card and payments holders. Sellers on the beat and raise are grading the revenue line and the adjusted number.

Next: Flash PMIs at 9:45 ET and final consumer sentiment at 10:00 ET. The Fed decision is Wednesday, Oct 28.

Wrong if: AXP turns green in the first hour. That would say buyers trust the 10% growth call over the small revenue miss.

TOP PRE-MARKET MOVERS

1 · SAIQ +26% ($6.65). WISeSat.Space is up again after a 5% slip Thursday. There's no fresh company release, so treat it as momentum (MT Newswires).

2 · BKYI +12% ($3.07). BIO-key closed Thursday at $2.74, up 30%, on a new Middle East government security contract and kept climbing after hours (InvestorIdeas).

3 · STAK +12% ($1.87). STAK is extending Thursday’s 67% gain after its fiscal 2026 results showed a swing back to a small profit (MT Newswires).

Prices ~07:20 ET. Day-two moves on small floats: BKYI about $6 million, STAK about $36 million. Day-two gaps fade often. Size accordingly.

“I lose 1 out of every 4 trades.” Why this trader’s system still works when the losers stay small (From Millionaire Publishing)

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Signal over noise. The 9:45 PMIs, then whether chips can hold a bounce into the weekend.